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DECISION No

DECISION No. 305/2001/QD-BTM OF MARCH 26, 2001 PROMULGATING THE REGULATION ON THE PEOPLE�S REPUBLIC OF CHINA�S GOODS TRANSITING THE TERRITORY OF THE SOCIALIST REPUBLIC OF VIETNAM

THE MINISTER OF TRADE

Pursuant to the Agreement signed on April 9, 1994 between the Government of the Socialist Republic of Vietnam and the Government of the People�s Republic of China on goods transit;

Pursuant to the Government�s Decree No. 57/1998/ND-CP of July 31, 1998 detailing the implementation of the Commercial Law regarding goods export, import, processing and sale/purchase agency with foreign countries;

After consulting with the Ministry of Communications and Transport and the General Department of Customs,

DECIDES:

Article 1.- To issue together with this Decision the Regulation on the People�s Republic of China�s goods transiting the territory of the Socialist Republic of Vietnam.

This Regulation shall replace the Regulation on the People�s Republic of China�s goods transiting the Vietnamese territory, issued together with the Trade Minister�s Decision No. 08/TM-XNK of June 25, 1994 and the Trade Ministry�s Decision No. 1636/TM-XNK of December 29, 1994 adjusting a number of points in the Regulation on the People�s Republic of China�s goods transiting the Vietnamese territory, issued together with Decision No. 08/TM-XNK of June 25, 1994.

Article 2.- This Decision takes effect 15 days after its signing.

Minister of Trade
VU KHOAN

REGULATION ON THE PEOPLE�S REPUBLIC OF CHINA�S GOODS TRANSITING THE TERRITORY OF THE SOCIALIST REPUBLIC OF VIETNAM

(Issued together with the Trade Minister�s Decision No. 305/2001/QD-BTM of March 26, 2001)

I. GENERAL PROVISIONS

1. Goods mentioned in this Regulation mean goods of the People�s Republic of China�s owners, which transit the territory of the Socialist Republic of Vietnam en route a third country, or from a third country transiting the Vietnamese territory to the People�s Republic of China.

2. Goods of various types may be transited through the Vietnamese territory, except those on the Vietnam�s list of goods banned from import and export.

3. The transit of goods through the Vietnamese territory must be permitted by the Socialist Republic of Vietnam�s Trade Ministry on the basis of the application for goods transit filed by goods owners of the People�s Republic of China.

4. The transport of transit goods of Chinese goods owners shall be performed by Vietnamese enterprises.

5. Transit goods shall be subject to the supervision of Vietnamese Customs during their transportation on the Vietnamese territory; brought in and out of Vietnam through the prescribed border-gates and routes; the volume of goods brought out must be the same as that brought in, with hoops and bales kept intact.

6. Transit goods may be kept on the Vietnamese territory for a maximum duration of 30 days as from the date of completing the customs procedure at the import border-gates. This duration may be extended by the provincial/municipal Customs Departments supervising of the goods lots for three times at most and each time must not exceed 30 days.

7. The transit goods owners shall have to pay customs fees and other charges applicable to transit goods according to current regulations of Vietnamese State.

8. The transit goods must not be consumed on the Vietnamese territory. For special cases, the permission of the Trade Minister of the Socialist Republic of Vietnam is required.

9. The procedures for storing transit goods in warehouses, storage yards; the procedures for transshipment of transit goods; and the procedures for the extension of the transit duration of each goods lot shall comply with the guidance of Vietnamese Customs.

II. BORDER GATES FOR TRANSITING GOODS

The transit of goods through Vietnam-China border shall be effected through the following border gate pairs:

Names of Vietnam�s Names of China�s

border-gates border-gates

Lao Cai Hokou

Huu Nghi Yu Yi kuan (Friendship

Pass)

Mong Cai Tonghsiang

Dong Dang (railway Pengxiang (railway

border gate) border gate)

Besides, transit goods may be transported through international border gates which the Vietnamese and Chinese governments agree to open later.

III. PROVISIONS ON PERMITS AND THE TRANSPORTATION OF TRANSIT GOODS

1. The Chinese transit goods owners, if wishing to transit their goods, shall have to send an application for goods transit to the Socialist Republic of Vietnam�s Trade Ministry for being granted permits for the transit of goods. A goods transit permit granted once for a contract shall be valid for the transportation of several goods lots in one year as prescribed in the transit permit.

2. Vietnamese enterprises which transport goods for Chinese transit goods owners shall have to produce to the Vietnamese border-gate customs offices the following documents:

a/ Goods transit permits granted by the Socialist Republic of Vietnam�s Trade Ministry to the Chinese transit goods owners;

b/ Relevant goods vouchers as prescribed by the General Department of Customs;

c/ Contracts on the transportation of transit goods signed with the Chinese goods owners.

3. If the transit goods are self-propelled transport means, such transport means must have temporary registration number plates granted by the Public Security Services of the provinces or centrally-run cities where locate the import border gates and the provisional certificate of technical safety and environmental protection inspection granted by the Communications and Transport Service before they are allowed to transit the Vietnamese territory.

IV. OTHER PROVISIONS

1. The changes of transport routes or goods export/import border gates shall be considered and settled by the Ministry of Trade on the basis of the written requests of the Chinese transit goods owners.

2. In the process of transportation and storage in the Vietnamese territory, if anything happens to the transit goods (being broken, lost or damaged�), the transporting enterprises must promptly notify such to the customs offices (where the customs office is not available, to notify the nearest local administrations of communal or higher level) in the localities where the incidents have occurred so that the latter can make certification of the state of goods. The written incident certification shall serve as basis for the export border-gate customs offices to carry out export procedures for the goods lots.

3. Disputes arising between Vietnamese enterprises and Chinese transit goods owners during the process of performing contracts on the transportation of transit goods shall be settled by involved parties through negotiations. If negotiations fail, such disputes shall be settled by the Vietnam International Economic Arbitration, attached to the Vietnam�s Chamber of Commerce and Industry.

4. The payment of fees and expenditures arising from transit activities shall be made in accordance with the provisions of the Agreement on payment and cooperation between the Vietnam State Bank and the China People�s Bank signed on May 26, 1993 and current regulations on foreign exchange management of the Vietnam State Bank.

5. Organizations and individuals that violate the provisions of this Regulation shall be handled according to current laws of Vietnam.-